[Delhi Excise Case] Delhi Court Takes Cognizance Of ED Chargesheet Filed Against K Kavitha & Others

Thank you for reading this post, don't forget to subscribe!

Special Judge Kaveri Baweja acknowledged the chargesheet, subsequently issuing a production warrant for K Kavitha, mandating her appearance in court on June 3, 2024. The court has also recognized charges against other accused individuals, including Chanpreet Singh, Damodar, Prince Singh, and Arvind Kumar.

[Delhi Excise case] Delhi Court takes Cognizance of ED chargesheet Filed against K Kavitha & Others

New Delhi: Today (May 29, 2024): The Rouse Avenue Court has taken cognizance of the Enforcement Directorate’s (ED) supplementary prosecution complaint filed against BRS leader K Kavitha and others in the ongoing excise policy money laundering case.

Special Judge Kaveri Baweja acknowledged the chargesheet, subsequently issuing a production warrant for K Kavitha and mandating her appearance in court on June 3, 2024.

The court has also recognized charges against other accused individuals, including Chanpreet Singh, Damodar, Prince Singh, and Arvind Kumar.

The chargesheet, submitted by the ED, describes allegations against K Kavitha and her co-accused related to irregularities in the now-repealed Delhi excise policy. These irregularities allegedly include undue favours to license holders, illegal refunds, and waivers resulting in significant financial losses to the exchequer.

On May 27, the Delhi High Court reserved its order on the bail plea filed by K Kavitha, who has sought release on both merit and medical grounds. Kavitha’s plea highlights her role as a mother, the medical needs of her children, and alleges political motivations behind her involvement in the case.

Kavitha’s counsel has argued that the ED’s case is primarily based on statements from approvers and co-accused, with no substantial documentary evidence corroborating these claims.

They assert that the arrest was not in compliance with Section 19 of the Prevention of Money Laundering Act (PMLA) and that no tangible evidence points to her direct involvement in any cash transactions or money trails.

On May 6, the Rouse Avenue Court in Delhi rejected the bail pleas filed by K. Kavitha, the leader of BRS, in connection with both CBI and ED cases linked to the Excise Policy matter.

Kavitha was arrested by the Enforcement Directorate (ED) on March 15, 2024, and by the Central Bureau of Investigation (CBI) on April 11, 2024.

Earlier, the CBI, in its remand application, asserted that

Kavitha Kalvakuntla’s arrest was imperative for conducting her custodial interrogation. This was deemed necessary to confront her with evidence and witnesses in order to uncover a broader conspiracy related to the formulation and implementation of the Excise Policy. Additionally, the aim was to establish the money trail of illicitly obtained funds and ascertain the roles of other accused individuals, including public servants. The objective also involved uncovering facts that were within Kavitha’s exclusive knowledge.

The CBI, in its remand application, emphasized the necessity of Kavitha’s custodial interrogation to uncover the broader conspiracy and establish the money trail linked to the excise policy modifications.

This inquiry was initially prompted by a report from the Delhi Chief Secretary in July, indicating multiple violations of the GNCTD Act 1991, Transaction of Business Rules (ToBR)-1993, Delhi Excise Act-2009, and Delhi Excise Rules-2010.

The ED and CBI have accused officials of modifying the excise policy to extend undue favours, reduce or waive license fees, and extend L-1 licenses without proper authorization. These actions allegedly resulted in a financial loss of Rs 144.36 crore to the state exchequer. The probe agencies claim that illegal gains were diverted to accused officials, with false entries made in financial records to evade detection.